What have been the outcomes of previous COPs and what should realistic expectations be for the forthcoming conference?

How will momentum on climate issues accelerate policy responses across major economies? What will be the impact on portfolio risks, opportunities and resilience? Hear the findings and forecasts from the Inevitable Policy Response (IPR), a PRI project that sits at the intersection of policy and investment. 

The next ten years will be a “decade of delivery”. The latest reports from the IPCC and the upcoming COP26 summit will focus investors and regulators alike on climate change and environmental issues. There is also increasing momentum around the social and governance elements of ESG and the need to incorporate them into portfolios. This session discusses ideas about ESG within a total portfolio framework. It includes some practical insights on ways to think about asset allocation and shares a state-of-the-nation perspective on how investors are addressing ESG.

Strategies based on blind re-allocation away from high-emitting sectors and industries are likely to have limited, if any effect in terms of achieving the Paris targets. At the same time, weak promises of future de-carbonisation or offsetting should not be used to justify the presence of persistent laggards in portfolios labelled as pro-climate.  Thus, as recognised in the context of the Net-zero Asset Owners’ and Asset Managers’ initiatives, specific company analysis, engagement and follow-up with investee companies are key to achieving the real-world decarbonisation required to reach both the industry’s own commitments and the Paris targets at large. This presentation will give examples of some methods available and of how they fit within the context of NZAM target-setting.

What can and should investors do and what help do they need to achieve net-zero and sustainable investment practices? What influence will COP26 have on established approaches?

What can and should investors do and what help do they need to achieve net-zero and sustainable investment practices? What influence will COP26 have on established approaches?